> why would a VC like Sequoia invest in such firms? I thought the rationale was already widely known by now: https://en.wikipedia.org/wiki/Greater_fool_theory

> why would a VC like Sequoia invest in such firms? I thought the rationale was already widely known by now: https://en.wikipedia.org/wiki/Greater_fool_theory https://en.wikipedia.org/wiki/Greater_fool_theory Or in more charitable terms: if an investment has a positive expected return according to their model (meaning that they think they can sell their shares / tokens in the case of some VCs), they do it.